Bitcoin price started a downward correction from $30,200. BTC is currently trading near the previous breakout resistance at $29,400.
Bitcoin is correcting gains and trading below $29,800.
The price is trading above $29,400 and the 100 hourly simple moving average.
There was a break below a key bullish trend line with support near $29,840 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could start another rally if it sustains above the $29,400 support zone.
Bitcoin price holds support
Bitcoin price started to rise well above the $29,400 and $29,500 resistance levels. BTC even broke $30,000 but without a daily close. A high was formed near $30,190 and the price started a downside correction.
There was a move below the $30,000 and $29,800 levels. The price fell below the 23.6% Fib retracement level of the upward move from the $28,628 low to $30,190 high. Additionally, there was a break below a key bullish trend line with support near $29,840 on the hourly chart of the BTC/USD pair.
Bitcoin price is currently trading above $29,400 and the 100 hourly simple moving average . It is also holding the pivot zone at $29,400. It is close to the 50% Fib retracement level of the uptrend from the $28,628 low to $30,190 high.
Immediate resistance is near the $29,680 level. The first major resistance is near the $29,800 level. The next major resistance is near the $30,000 level, above which the price could revisit the $30,200 level.
A close above the $30,200 resistance could start another steady rally. In the said case, the price could test $31,200 or even $32,000 in the coming days.
Lose more BTC?
If Bitcoin fails to overcome the $29,800 resistance, it could start a new decline. Immediate support on the downside is near the $29,400 level.
The next major support is near the $29,300 level or the 100 hourly SMA. A downside break below $29,300 could spark bearish moves. In the said case, the price could go back to $29,000. Any further losses could result in a move to $28,680 in the near term.
Technical indicators:
Hourly Indicator – The MACD is currently accelerating in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently below the 50 level.
Key support levels – $29,400, followed by $29,300.
Key resistance levels – $29,800, $30,000 and $30,200